While commenting on Nifty Outlook for the next week, we maintain our views that markets may remain range bound but if fuel prices are hiked then it will be positive for oil and marketing companies. Markets would also be looking out for quarterly earnings from second week of April with IT major Infosys. As far as rupee movement is concerned, liquidity flow from FIIs as well as government borrowing plan would determine the rupee movement. So in the current scenario, we would continue to recommdnd bottoms up approach to accumulate stocks of companies having ethical management and attractive valuations across sectors like IT, Banking, Media, Logistics, Capital goods and infrastructure.

Overall, Nifty has taken support at 200 dma and showed strong buying. The renewed buying interest can take nifty to 5,470 levels in the coming days. On the downside, 5,130 continues to be a support.

As April future contract will start by tomorrow, I would like to recommend you buy some fruitful stocks on declines. In the large-cap names, I will be fairly comfortable to maintain buying recommendation on Petronet LNG, Bajaj Auto, M&M, some of the prominent names or even an Indraprastha Gas for example. Take advantage of the volatility and if you can buy them basically on declines.

In the mid-cap space, I would suggest you to look at Bajaj Finance, M&M Finance.

I would also suggest recommend Bata, ITC, so some of these would be something that I would favour.

I would be definitely comfortable buying them both at current prices if they were to decline amidst all the volatility, it is all the more better.

While commenting on Nifty Intraday Outlook for tomorrow, we continue to maintain a bearish view for Nifty and now trail our stop loss for short positions to 5,275. On the down side the level of 5150 followed by 5,050 is still a valid possibility. Negative sentiment which prevailed through the month is expected to keep the market under pressure towards expiry. In an alternate case we would await a confirmation of a break out above 5,280 to explore further bullish options.

Bank Nifty has now broken in 9937 low, which corresponds to 5170, so it seems that the Bank Nifty is trying to lead this decline. If I have to choose between going short with either of the index, I would go short with the Bank Nifty than with the Nifty, just as a comparative. But yes, if 5170 starts getting decisively broken, then obviously you have to push the short side.

I continue to remain with my favourites, that is Hero MotoCorp in the two wheelers and Tata Motors, which I have always called a joker in the pack or the dark horse. That is a stock, which I would continue to believe that investors should remain invested and because there could be some more positive surprises coming from there.

As regards Maruti, answer is 'no'. As regards Mahindra & Mahindra, it is slightly disappointed. I would possibly await as to what is going to happen to the monsoon factor and the forecast for that before recommending Mahindra & Mahindra. In auto pack, I continue to like Hero MotoCorp and Tata Motors.

After the government's clarification on the taxation of FII inflows through the Mauritius route , the markets bounced back handsomely and closed with robust gains. The Nifty crossed its psychologically important level of 5200.

Nifty has strong support at 5,150 levels. Immediate hurdle for the market is at 5,285 levels. Sustaining above the levels of 5,285 will be positive for the markets, in that case will be exposed to higher levels of 5,375 and 5,550. Up move in the market will face stiff resistance at 5,375 levels. On the lower side breach of 5,150 will be viewed negatively for lower level targets of 5,050 and 4,950. Support Long should be seen in markets, as markets are close to the crucial reversal point of 200 days average.

I post my views as Bullish on Jindal Steel & Power Ltd. and presume that among the stocks on steel and power, this is one of the better pick. Fundamentally in terms of the networking that they have on the backend. My own sense says that if investors have one or two year views, these are levels to look at notwithstanding the current pessimism on some of these counters. It is a good stock to buy at these levels for a two-years perspective.

It was choppy starting for Indian Equity Markets. Nifty lost 94 pts (-1.78%) and closed in deep red below 5,200 levels. It has given a break down of the support level of 5,205 and appears weak on the chart. Bears are having control at the moment. Bulls have support at 5,150 levels; if they manage to hold 5,150 levels then recovery may be seen else selling pressure may be seen ahead.

For intraday trading tomorrow, trend deciding level is 5,200. If Nifty shows strength above 5,200 levels, then rally to 5,240-5,275-5,300 may be seen. On the downside if Nifty does not show strength above 5,200 levels then selling pressure till 5,150-5,120-5,075 may also be seen.

Trading Strategy :We recommend holding on to short positions that we had recommended with a stop loss of 5,385 for the target of 5150-5120-5075 where profit may be booked.

Wockhardt Ltd. is recommended to buy on current levels. This is probably the one stock which is breaking out to fresh highs after the budget and from here it could easily get to levels of 700 plus. On charts the stock is looking highly bullish and would be the best stock to buy at current price for price target of Rs 700-725. I remember, around the budget days it was hanging around 580-585, and now it has moved up. So buying it would be the best trade.

While commenting on Nifty Outlook for next we see technically the level of 5,375 will act as a major hurdle for the Nifty. On the lower side 5,150-5,180 will act as a major support for the market and dismissal of the 5,150 may result into quick sell off to 5,010 minimum and maximum to 4,950 levels. Closing above the level of 5,375 can take index to the level of 5,550-5,600. Investors can certainly look for index stocks to buy around 5,200 levels.

For Nifty Intraday Outlook on Monday 26-March, trend deciding level is placed at 5275. If Nifty manages to trade above this level then rally to 5330-5375 can be seen. On the downside if Nifty doesn't show strength to trade above 5275 level then selling pressure can be seen till 5200 level.

JSW Energy has been recommended to sell as it is breaking down after a strong uptrend. It is closing below the critical moving averages. So, keeping a stop at about 65, this could decline to as low as 56 or 55 which is the 200 day average level. That is one stock clearly which can be shorted.

Yesterday Nifty traded well and managed to respect the level of 5,220 and showed an impressive recovery, but today it reversed to close in deep red with 136.50 pts loss. In the immediate term Nifty now has a minor support placed at 5,220, the reversal of today increases the likely hood that the support level will be breached. Nifty may now correct further till 5,050 which is an important support offered by the Fibonacci retracement of the entire advance that we witnessed in the beginning of the year.

We recommend exit from long positions and initiate fresh short on any bounce back till 5,280 - 5,300 levels with a stop loss of 5,385 for a downside target of 5,050 over the course of next three to five sessions.

Indian Markets traded well today and closed above 5350 level with significant gains of 90 pts. Both benchmark indices (Nifty and Sensex) witnessed handsome gains of 1.71% and 1.65% respectively. Capital Goods, realty, banking and power sectors were the biggest gainer today while IT and Metals too surged.

For Intraday Trading tomorrow trend deciding level is at 5350. If Nifty Manages to trade above 5350 levels then rally to 5385-5410-5450 can be seen otherwise Nifty below 5350 Nifty could see selling pressure to 5300-5260 levels. However Global cues will continue to influence market trends.

Indiabulls Financial Services has been moving sideways after making highs of about 240-245. The stock is a fairly strong on chart, and expected to be bullish in coming trading sessions. It always has shallow corrections and tends to move up fairly sharply. With the way it is closing, we can easily see levels of 300 in the days to come. So we recommend traders to buy it for price target of Rs. 300.

For intraday trading tomorrow Nifty is having resistance at 5,305 and 5,340 while the support is there at 5,242 and 5,205. It is very likely that a bounce back may happen once Nifty test its crucial support of 5,171. One should also keep in mind that the government plans to allow oil companies to raise the fuel price once the parliament is over by March 31st which will have a negative impact on the markets.The only factor that might save Indian markets from more pain is the money flow from overseas investors. Even that could dry up at some point. The bottom line is that things continue to be uncertain. A measured and discipline approach would hold you in good stead in the medium- to long-term

Nifty has been trading with negative bias since past four sessions, ever since it failed to clear the resistance of 5,500. Nifty is now placed near the support level of 5,220. A breach of 5,220 would induce further weakness and Nifty may correct till 5,047 which is an important Fibonacci retracement level of the earlier advance from 4,686 till 5,629. On the higher side now the level of 5,340 to 5,360 would serve as resistance in case of a bounce back. The trend would continue to remain negative for immediate term till the time Nifty trades below 5,450.

The major sentiments for Nifty looks bearish on unsatisfactory Union Budget 2012-13. It remains to be seen whether this downward break can induce some trend or it`s just because of the nervousness among the minds of market participants just of Union Budget. Key support area is seen at 5,240-5,210, which should not be lost if the uptrend has to continue, while favorable news flow can see index testing the value area of 5,550-5,600. The intraday supports in Nifty are placed at 5,275 and then at 5,240, the resistances for the day are seen at 5,370 and then 5,400.

Finance Minister, Pranab Mukherjee presented Union Budget in the Lok Sabha on Friday. Lets take a look as to what experts" have to say on the Union Budget:

Sonal Varma, Analyst, Nomura:

Economics triumphed politics in the budget for FY13 (year ending March 2013). Expectations were running low after the dismal performance of the ruling Congress government in recent state elections and the budget was a litmus test on the government"s commitment to judicious economic policies.

In the event, the government has presented what we see as a credible budget: the fiscal deficit is projected at a higher-than-expected 5.1% of GDP in FY13, down from 5.9% in FY12 (budgeted: 4.6%). The government faced the option of projecting a lower but unrealistic deficit number, or a higher, more credible number. Choosing the latter is prudent, in our view, and we do not see much room for slippage. The medium-term fiscal policy statement projects the fiscal deficit to decline further to 4.5% of GDP in FY14 and to 3.9% in FY15. The government plans to finance 93% of the deficit through market borrowings (versus 84% last year), pegging net borrowing at Rs 4.8 trillion, 10% higher than FY12 and gross borrowing at Rs 5.7 trillion, a rise of 12%.

In our view, the government has been realistic in its tax revenue, disinvestment and growth projections. The hike in indirect tax rates is inflationary, but was necessary to raise the tax-to-GDP ratio. Quality of spending has also improved, as capital expenditure is projected to rise faster than revenue expenditure. The government has committed to restrict expenditure on subsidies to under 2% of GDP from 2.4% in FY12, but with no concrete measures yet, we see room for overshoot on the subsidy bill. However, there is enough of a cushion in other spending to be able to absorb this, in our opinion. We also do not see much populist policy in the budget. We believe the continued reliance on asset sales to lower the deficit and the lack of a clear-cut plan on subsidies are the only negatives. The government now needs to walk the walk.

Anup Bagchi, MD & CEO, ICICI Securities:

Budget 2012-13 has been an honest budget implicating ground realities with continued focus on fiscal consolidation. The expected fiscal deficit of 5.1% and full rollback of impetus during global crisis of 2008 by hiking the rate of excise and service tax rate will help in achieving it and appears highly achievable.

The budget though also had a modest increase in the allocation to social welfare schemes and provided relief to individuals hiking tax exemption limit (Income till Rs 200000 exempted from Tax). Also, reduction in customs duty for import of coal, LNG and capital equipments along with hiking allocation to road sector has to a certain extent taken care of some of the concerns faced by infra sector.

Initiatives such as the Rajiv Gandhi equity savings scheme, lower STT on delivery, and higher tax free infra bonds will lead to increased participation from retail investors through these benefits.

Mehta Equities:

On overall basis it was a conservative budget presented with no major negatives hidden in the box. We feel that this budget is aimed at addressing to the problem of inflation and for a stable economy looking at the global economic concerns. A very small raise in the exemption limit by Rs 20,000 disappointed the large section of income tax payers in the country.

The revision in tax slabs will give some direct tax relief to individuals, even as eating out; buying luxury cars, air travel, availing some professional services and investing in gold jewelery will become costlier. While for the corporate sector, the tax rates will remain unchanged which stands out to be little relief in the current market scenario. Promising to curb black money, major push on infrastructure, capital market reforms and huge subsidy cut were among the other proposals which kept markets in green. From a market"s perspective it appears like a big non-event no big announcement in this Budget to lift corporate sentiment dramatically.

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Finance Minister Mr. Pranab Mukherjee announced his seventh Union Budget for the year of 2012-13. At the very beginning of his speech Mr. Mukherjee said that "a year of recovery interrupted" meant that it's time to take tough decisions. Here are the highlights (key points) of Union Budget 2012-13.

* Income tax exemption limit raised to Rs.2 lakh to provide relief of relief of Rs.2,000 for all assesses; 20 percent tax on income over Rs.10 lakh, up from Rs.8 lakh.

* Deduction of up to Rs.10,000 from interest from savings bank accounts.

* Defence to get Rs.1.93 lakh crore during 2012-13.

* Service tax rate raised from 10 percent to 12 percent to bring in Rs.18,660 crore.

* Number of proactive steps taken on black money (stashed away abroad); information has started flowing in, prosecution to be initiated; White Paper in current session.

* No change in corporate taxes but measures to enable them better access funds.

Nifty showed selling pressure for second consecutive day and closed with heavy loss today. Government announced an huge cut in EPF slashed to 8.25% from 9.50% the day before Budget that will surely lead Indian markets to down and very high volatility may be seen throughout the day. Union Budget may play important role sentiment preparation.

Nifty has some support at 5,350 levels. If Nifty manages to hold support then buying interest may be seen. Else selling pressure may be continuing. For intraday trading tomorrow, trend deciding level is 5,350-5,375. If Nifty shows strength above 5,375 levels, then rally to 5,450/5,500/5,560/5,600 may be seen. If Nifty does not show strength above 5,350 levels then selling pressure till 5,300/5,270/5,200 may also be seen.

Nifty showed some positive trend today and closed with moderate gains. After today's move Nifty is now trading close to the resistance of 5,477. For Nifty it is now very important to sustain above 5,400 level if the upward momentum is to continue. Any move below 5,400 would be initial sign of weakness and Nifty may further correct till 5,350-5300 which is the value of trend reversal for short term.

Nifty Intraday Trading Strategy

We recommend holding on to long positions with a revised stop loss of 5,350. However if Nifty fails to remain firm above 5,400 then one must not buy aggressively and protect their long positions with a stop loss of 5,350. On the higher side, sustenance above 5,400 can result in further upside till 5,521.

An increase in passenger fares across all classes, more than 100 new trains, enhanced frequency or routes for many others, and plans to hire more than one lakh employees were some of the key Rail Budget proposals made on Wednesday.

Presenting the annual Rail Budget for the financial year 2012-13 in Parliament on Wednesday, Railway Minister Dinesh Trivedi made following key proposals:

=> Passenger fares to be hiked by 2 paise per km for suburban and ordinary second class travel; 3 paise per km for mail/ express second class; 5 paise per km for sleeper class; 10 paise per km for AC chair car/AC 3-tier and First Class; 15 paise per km for AC 2-tier and 30 paise per km for AC 1-tier.

Godrej Industries has been recommended to buy. Definitely the stock has been trading well and I think it has a base formation around this 380-400 and today it has moved up on fairly good volumes. Now this is again a stock that keep buying these football teams, etc., and there is volatility because of that but if I have to compare Godrej Industries and Venky's, I would probably go with Godrej rather than Venky's because it is tending to do a 70-80 point range between 400 and 480 odd.

Markets witnessed handsome gains today with almost all sectoral indices closed in green. Both benchmark indices (Nifty and Sensex) set approx 1.30% gains. Nifty has some resistance at 5,450 levels. Buying momentum may be continuing above 5,450 levels. On the other hand, if Nifty does not maintain above 5,450 levels then profit booking may also be seen. Rail Budget, RBI Policy and Union Budget events are due in next three days. Therefore, volatility may be seen for 3 days.

For intraday trading tomorrow, trend deciding level is 5,450. If Nifty shows strength above 5,450 levels, then rally to 5,500-5,560-5,600 may be seen. If Nifty does not show strength above 5,450 levels then selling pressure till 5,380-5,350-5,270 may also be seen.

The bias for Nifty continues to remain positive till the time it trades above the level of 5,220. It has short term support placed near 5,295 level, thus any decline should be arrested near that level if the upside trend has to continue. Only a breach of 5,295 would be the first sign of weakness and the upside trend for immediate term would be negated only if it breaches the level of 5,220. However till the time it trades above 5,220 the bias remains positive and a breach of 5400 would confirm further upside till 5,540 and higher.

Bharti Airtel is recommended to buy for long term perspective. It has been quite a smart mover and has got good support coming in at 330 levels. So, if you want to trade it from an extremely short term point of view then go ahead and make and buy it around 330 levels. 345-360 is the level where it see some exhaustion, so you need to book out your profits. But from a long-term point of view we have target of about 445 on Bharti Airtel and 120-130 on Idea Cellular.

The markets closed with moderate loss in this week and Oil & Gas, Power are the worst looser. Commenting on Nifty outlook for next week (12-16'March) markets are likely to be highly volatile as Union Budget, important data and events are lined up during this month. Global developments like announcement pertaining to US nonfarm payrolls too will continue to influence the market sentiments. For Nifty immediate resistance exists at 5,375-5,380 and immediate support is at 5,275 and then 5,210.

Indian markets ended the choppy week with some losses. The fall was mainly due to reform worries in the wake of dismal performance of Congress party in Assembly Polls.

However, the last day of the week, the market witnessed a significant rally borrowing cues from global markets with Sensex and Nifty closing over 2% higher. This was following news of Greece moving closer to completing its debt restructuring and Labor Department data showed expected jobless claims consistent with an improving economy. Meanwhile China`s inflation rate declined to a 21-month low of 3.2% in February12.

The 30-share index, Sensex dropped 133.56 points, or 0.76% to 17,503.24 for the week ended Mar. 09, 2012. On the other hand, the broad based NSE Nifty declined 25.80 points, or 0.48%, to 5,333.55 during the week.

Indian markets ended the choppy week with some losses. The fall was mainly due to reform worries in the wake of dismal performance of Congress party in Assembly Polls.

However, the last day of the week, the market witnessed a significant rally borrowing cues from global markets with Sensex and Nifty closing over 2% higher. This was following news of Greece moving closer to completing its debt restructuring and Labor Department data showed expected jobless claims consistent with an improving economy. Meanwhile China`s inflation rate declined to a 21-month low of 3.2% in February12.

The 30-share index, Sensex dropped 133.56 points, or 0.76% to 17,503.24 for the week ended Mar. 09, 2012. On the other hand, the broad based NSE Nifty declined 25.80 points, or 0.48%, to 5,333.55 during the week.

Nifty witnessed selling pressure today and closed in red below 5,250 levels. Bears are having control at the moment. On downside, Nifty has some support near 5,170 levels. If Nifty manages to hold 5,170 levels then recovery may be seen, else selling pressure may be continuing.

For intraday trading tomorrow, trend deciding level is at 5,220. If Nifty shows strength above 5,220 levels, then rally to 5,270-5,300-5,350 may be seen. If Nifty does not show strength above 5,220 levels then selling pressure till 5,170-5,125-5,050 may also be seen.

Alok Industries Ltd.Alok Industries was trying to bounce back but basically it is a stock that moves between 18 and 28, so it is trying to move higher and chances are likely to touch 32-35. The budget generally has some goodies for all of these stocks in Textiles. Chances are the budget will get Alok Industries in 26-27 type of zones. So I would recommend it to buy it on dips for price target of Rs 27-28.

Markets are likey to be highly volatile in the month of March as important data and events are lined up during this month. Tomorrow, on March 6, UP poll results will be declared which will influence the market sentiments. For Nifty tomorrow important support exists at 5,210 and then 5,170-5,160, while resistance levels can be placed at 5330-5375. Wait and watch would be the best approach to take. Volatility may rise in the coming days as market reacts to a spate of key events such as IIP and inflation data, RBI`s policy meet, Union Budget and advance tax numbers.

Stock market is expected that the budget security transaction tax (STT) is out. For transactions in shares of 0.125 per cent or Rs 1.25 at Rs 1,000 has to STT. Experts say that the STT to boost trading and investment should be removed. According to the government brings a new tax or tax rate is increased, it will affect the market. But if the government increases spending on infrastructure and education, it may benefit the market. Also, the market will like the new banking licenses announced. However, the market will increase the burden of fear that food subsidies and oil subsidies, which can lead to financial losses.

While commenting on Nifty Outlook Next Week, it has critical resistance zone around 5400-5450 whereas 5,300 is an important support level. An either side break out would confirm the future direction for short term. In case of a break down below 5,300, Nifty may come down till 5,233 and below that 5,190 is possible. In the event 5,400 is breached and sustained then we may see a retest of the recent high of 5,629 and higher levels in next few days.

As far as United Phosphorus is concerned, I am a bit surprised not because of the warning but because of the kind of treatment that the market has meted out because this continues to remain a good company in a more or less secular growth of 15-18% considering the kind of geographies that is present. Even if in a given year, the growth targets are missed by a few percentage basis points since the stock continues to remain pretty cheap at around 9-10 times, so it should not have made a world of difference but that's the market for you and longer term investors should actually take advantage of these declines and maybe buy United Phosphorus from the long-term perspective.

It was another choppy session for Indian Stock Markets, which lead markets to close in red with substantial losses. Nifty witnessed selling pressure for second consecutive day. Nifty has important support zone in 5,300-5,270 zone. If Nifty manages to hold this zone the recovery may be seen else selling pressure may be continuing. On upside, Nifty has resistance in 5,400-5,450 zone.

For intraday trading tomorrow 02-March, trend deciding level is 5,350. If Nifty shows strength to trade above 5,350 levels, then rally to 5,400-5,435-5,475 may be seen. On the downside if Nifty does not show strength above 5,350 levels then selling pressure till 5,300-5,260-5,225 may also be seen.